Insurance companies handle T5 traumas

Travellers turn to insurance companies to deal with T5 troubles

Travel Insurance News - 07/04/2008

Since the opening of Heathrow’s newest terminal building, insurance companies have been inundated with claims relating to lost and delayed bags. A representative from Go Travel Insurance said that travelers are increasingly relying on their insurance companies for advice, rather that trying to get information from airline staff or airport officials.

Chief executive for Go Travel Insurance, Christian Young, said: "Since things started to go wrong at T5, we've seen a steady increase in the number of calls and queries coming through to our call centre. This reached a peak at the end of last week as patience wore out with the continuing delays and confusion."

At the end of last week, British Airways announced that its estimated costs for the entire debacle would likely run around £16 million.

For many travelers, the crisis has illustrated the benefits of taking out a comprehensive travel insurance policy, one that covers delayed and cancelled flights as well as lost, damaged and delayed bags.

Totally Insured Travel recently released a new line of travel insurance to respond to new demands in the travel industry. Their Security Delay Insurance package starts at £5 and offers overnight accommodation, subsistence, alternative reticketing and excess car parking or travel charges for flights delayed longer than six hours.

Andrew Norman, director of Totally Insured Travel, said: "We think the extra cover will be appreciated not just by business travellers who absolutely have to be at a meeting but also those on holiday who want to know they won't be out of pocket if they need to make alternative arrangements."

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